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RANSAC Nuclear News, June 25, 2003 Compiled By: Billy Magnuson A. Russia-Iran
 A. Russia-Iran 1. Britain and Russia's Tentative Warming Trend (excerpted) [�] Anglo-Russia relations, so robust in Putin's early years in power, have darkened under the clouds of the Iraq war and the furor over nuclear proliferation in Iran. The two issues have put the once-chummy relationship between Putin and Prime Minister Tony Blair under considerable strain. Mr. Blair was the first Western leader to visit Putin after his election win three years ago, but when Blair returned to Russia in April he was openly mocked by Putin because of the failure to find Saddam Hussein or weapons of mass destruction. Official talks here will last just 30 minutes - a piece of protocol that some view as a reciprocal snub by Blair - and Putin is in no mood for compromise. Having resolutely opposed the war that Britain waged with the United States in Iraq, Putin is now determined not to be muscled out of the peace. He insists that pre-war contracts with Iraq signed by oil giant LukOil be upheld by the provisional authority in the country. He also wants Iraq's former debts to Moscow, thought to be worth more than $8 billion, to be repaid. On Iran, where Russia is helping build an atomic power plant, Putin denies that Russia is helping proliferate dangerous nuclear technology and is staunchly defending Russia's economic interests. "We are against the option of using the subject of Iran's potential nuclear program as a way of squeezing Russian companies out of the Iranian market," Putin told the BBC in a pre-visit interview. [�] Return to Menu 2. Iran Balancing Game Events in and around Iran are unfolding at quite a pace. University professors have been joining their students in pro-democracy demonstrations in Tehran and other cities. More than 250 academics and writers have called on Iran's supreme leader, Ayatollah Ali Khamenei, to renounce his claim to be "God's representative on earth." And intellectuals have come out in favor of the democratic reforms advanced by liberal lawmakers last month. The confrontation between conservative supporters of Iran's clerical establishment, led by Ayatollah Khamenei, and their liberal opponents who back moderate President Mohammad Khatami, has spilled into the streets. The Iranian opposition is a myth no more. It consists of Khatami and his circle, a significant number of reform-minded legislators, intellectuals and students. In part, Ayatollah Khamenei was right when he accused the United States of fomenting the recent unrest in Iran. But Washington is just warming up. President George W. Bush has so far limited himself to making statements of support for the demonstrating students, and Congress has only begun to consider the Iran Democracy and Freedom Support Act. The U.S.-led occupation of neighboring Iraq, on the other hand, has exerted a real destabilizing influence on Iran. Recent events in Iran have been music to the ears of the Bush administration. By backing the Iranian opposition, Washington could avoid the costs and risks of a large-scale military intervention. The idea of "transforming Iran" by political and economic means would probably suit Europe as well. European concern over Tehran's nuclear program rose sharply after IAEA chief Mohamed ElBaradei accused Iran of failing to comply with its nuclear safeguards agreement. If Iran were successful in building rocket-based nuclear weapons, Europe would be well within range. As would Russia. If Washington launches a "crusade" against Iran's conservative clerics, the Europeans, chastened by their experience during the crisis in Iraq, would almost certainly lend their support. If that happens, Russia would find itself in a sticky situation. Russia cannot afford, economically or politically, to abandon the $800 million light-water reactor it is helping to build in Bushehr, or to sever trade with Iran, worth some $1 billion per year. But confrontation with Washington is not an option either, especially as Russia would probably have to go it alone. The time has come for Moscow to develop a coherent policy on Iran that takes into account the lessons of the crisis in Iraq. Primary among them, of course, is that if the Americans were to come up with the right strategy, they would probably get their way in Iran. In that case, the fate of Russia's lucrative contracts in the country would be in the hands of the United States, just like our contracts in Iraq. During the Iraq crisis, Moscow first walked a tightrope between the United States and Europe, then began to criticize Washington in the civilized company of France, Germany and China. As a result, Russia avoided a direct political confrontation with the United States and was "forgiven" in the end. It is now clear that political will in Washington made the difference in preventing Iraqi energy officials from going through with canceling LUKoil's 1997 contract to develop the West Qurna oil fields. Recently it has emerged that Russian oil companies plan to step up their involvement in Iran. Stroitransgaz wants to get involved, and oil majors LUKoil, Yukos and Sidanko hope to export oil to Europe via Iran's pipeline network. There is a third important consideration: Iran's possible push to develop nuclear weapons. Russian experts and officials have begun to warn that Iran should be considered a potential threat to our national security. It was no coincidence that Foreign Minister Igor Ivanov issued a policy statement concerning Iran in New Delhi last week on the same day that ElBaradei called on Iran to allow more comprehensive IAEA inspections of its nuclear facilities. Ten days before, an internal IAEA report claimed that Iran had failed to inform the agency about its use of nuclear material. On Thursday, the IAEA gave Iran a chance to make amends, saying it expected Iran "to grant the agency all access deemed necessary" to determine if Iran was pursuing a nuclear weapons program. This, in turn, gave Moscow a chance to adjust its Iran policy based on IAEA allegations, recent events in Iran, and mounting pressure from Washington to break off its nuclear cooperation program. Russia's revised line on Iran can be pieced together from the recent statements of various government officials. Iran remains a neighbor with whom Russia plans to cooperate, without taking sides in the country's internal disputes. Nuclear cooperation should be permanently monitored by IAEA inspectors. Russia has no intention of helping Iran to develop nuclear weapons. Russia will continue to work with the United States to prevent the proliferation of WMD, and to pursue a dialogue on possible Russian oil exports to North America. Russia's position is balanced. Both Russia and the United States are currently throwing their weight behind the IAEA (Russia in order to "legitimize" its involvement in Iran). But the problem is that widespread disorder within Iran could radically alter U.S. strategy. Washington understands that even a victory for Khatami's supporters will not automatically spell victory for it in a country where anti-U.S. sentiment remains strong. What's more, Khatami is no less interested in developing the country's nuclear programs than Khamenei. The United States wants to eliminate Iran's "nuclear threat." At some point, the White House might give the Pentagon the go-ahead to take out the Bushehr plant with air strikes. A battle plan has already been drawn up. And that would blow the results of Russian-Iranian cooperation to smithereens. Return to Menu 3. Putin Refuses to Cut Iran Link Russian President Vladimir Putin has said that Russia would continue to help Iran develop its nuclear programme despite Washington's objections. Mr Putin was speaking in an exclusive interview with the BBC One's Breakfast with Frost. "We won't let the issue of nuclear proliferation be used to stop Russian companies dealing with Iran," he said, adding that Russia, too, had some questions regarding Iran's nuclear energy programme. Russia is helping Iran to build an $800m nuclear reactor in the south-western port of Bushehr. The International Atomic Energy Agency (IAEA) - the United Nations nuclear watchdog - has called on Iran to allow stricter inspections of its nuclear facilities. US President George W Bush urged the world last Thursday to warn Tehran against developing nuclear weapons. Mr Putin is due to travel to Britain this week in the first state visit by a Russian leader since 1874. Economic issue? The Russian leader framed the issue of Russia's relations with Iran as an economic one - and said companies from other countries were trying to secure economic advantages in the country. "We know that some Western European companies closely co-operate with Iran in that sphere and supply it with equipment that is of dual use, to say the least," Mr Putin said. "We shall develop our relations on nuclear issues - not only with Iran but with other countries too - depending on how open they are to that established and respected international organisation [IAEA] whose experts we all trust," the Russian leader added. Last Friday, President Putin said he had been assured by his Iranian counterpart, Mohammad Khatami, that Iran had no plans to develop nuclear weapons. The IAEA has asked Iran to sign an additional protocol to the Nuclear Non-Proliferation Treaty (NPT) "as soon as possible and without conditions". Mr Putin told the BBC that Iran was prepared "to join all agreements and to place all its nuclear programs under control". But it was not clear whether he meant the additional protocol to the NPT which would allow for more intensive and short-notice inspections of Iranian nuclear facilities. IAEA inspection teams are due to return to Iran shortly. Historic visit Mr Putin said that Russia's opposition to the war in Iraq had not damaged ties with Britain, saying that his relationship with Prime Minister Tony Blair was open and friendly. "We believe it is possible to tell each other what we actually think rather than what our diplomats advise us to say," he said. But he is scheduled to meet Mr Blair for only 30 minutes on his visit, the BBC's Bridget Kendall says. Mr Putin told the BBC that Russia will insist that some of the multi-million-dollar contracts Russian oil companies signed with Saddam Hussein's Iraq be honoured. And he said Russia would not be dissuaded from helping Iran with its nuclear programme by US fears that Tehran is trying to develop nuclear weapons. As in other recent interviews, he refused to be drawn on the question of whether he would run for re-election. His term ends in less than a year. Return to Menu 4. Russia Puts Terms on Nuke Cooperation Russian President Vladimir Putin said his country would condition its nuclear cooperation with Iran on Tehran's openness to the U.N. nuclear watchdog agency. In an interview conducted Friday with Sir David Frost for the British Broadcasting Corp.'s Breakfast with Frost program, Putin also said Moscow would insist that the new Iraqi authorities allow some of Russia's major investment projects to go forward. ``We think it's quite justified in terms of current international law. And let me tell you, we have every reason to count on the support of international legal bodies,'' Putin said. ``I must add that my partners - both the British prime minister and the U.S. president - do not deny that Russian firms have the right to take part in the reconstruction of Iraq.'' The interview was conducted four days before Putin travels to Britain for the first state visit by a Russian leader since 1874. Putin told Frost that the visit underlined a new, high level of ties between the two countries. ``There has been more trust - relations have become more pragmatic. They are no longer about ideology. We have become true partners,'' Putin said. In spite of their cooperation, Putin, British Prime Minister Tony Blair and President Bush still have plenty of disagreements over the means to achieving their goals, Putin said. But they see eye to eye on the problems that need to be tackled, he said. ``We agree about the threats we all face in the 21st century. And this unites us,'' Putin said in the interview, which was also to be broadcast on BBC World. He said the proliferation of nuclear weapons was threat No. 1, and pointed to the dangerous situation in South Asia, as well as in North Korea and the Middle East. He said Russia would not, however, curtail its nuclear cooperation with Iran, which the United States and other western countries allege is aggressively pursuing a nuclear weapons capability. Instead, Putin said, Moscow will insist that Tehran provide maximum access to the International Atomic Energy Agency. ``We shall develop our relations on nuclear issues - not only with Iran but with other countries too - depending on how open they are to that established and respected international organization whose experts we all trust,'' Putin said. Russia has a $800 million contract to build a nuclear power plant in Iran. Under U.S. pressure, Russia has urged Iran to open itself up to broader nuclear inspections, but it has not up to now made fulfillment of the power plant contract contingent on Tehran's signing of an additional IAEA protocol that would provide the U.N. organization with greater access. Putin said Iranian President Mohammad Khatami had said in a telephone conversation last week that ``Iran was prepared to join all agreements and to place all its nuclear programs under control.'' It was not clear, however, whether Khatami had committed to signing the protocol insisted on by Russia's partners in the Group of Eight leading industrial countries. Putin said Russia had concerns about Tehran's nuclear program but reiterated Russia's argument that the threat was being exaggerated by countries intent on keeping their own foot in Iran. ``We know that some western European companies closely cooperate with Iran in that sphere and supply it with equipment that is of dual use, to say the least,'' Putin said. Return to Menu 5. Russia: Iran Softens Nuclear Stance Iran is ready to accept stricter international oversight of its nuclear programs, Russian President Vladimir Putin said Friday, contradicting public remarks by senior Iranian officials. The International Atomic Energy Agency urged Iran on Thursday to allow its inspectors complete access to all nuclear facilities to ensure that Tehran is not developing nuclear weapons. But Iran said Friday that it would continue to bar UN inspectors from taking soil samples at some locations. Iranian leaders also have said Tehran would agree to a broadening of inspections only if the international community acknowledged Iran's right to pursue peaceful nuclear power technology. Speaking to reporters at his annual news conference, Putin said he received assurances from Iranian leaders this week that Iran has no desire to develop nuclear weapons. Putin added that "according to the information we have, the Iranian leadership is ready to fully join all protocols and IAEA requirements with regard to control over its nuclear programs." Concerned that Tehran is using the development of civilian nuclear energy to mask a clandestine weapons program, the U.S. has been putting increasing pressure on the international community to demand stricter inspections in Iran. Gholamreza Aghazadeh, head of Iran's Atomic Energy organization, said allowing inspectors from the UN nuclear watchdog to take samples at the Kelaye Electric Co. in Tehran would expose Iran to a rash of similar requests, Reuters reported. "We've had no problem concerning environmental samples, but we've been telling the IAEA that this location is a non-nuclear location," Aghazadeh told state television. The IAEA on Thursday urged Iran to remain "transparent" and accept without delay or conditions more intrusive, short-notice inspections. The Kelaye facility was cited by the IAEA. Reactor complicates policy The Kremlin also believes stricter inspections are warranted. However, Russia's policy toward Iran is complicated by its commitment to build a $1 billion nuclear reactor in the Persian Gulf port of Bushehr. Moscow insists that the project at Bushehr will not help Tehran develop nuclear weapons. Russia also has agreed to provide nuclear fuel for the Iranian plant and it refuses to make delivery of the fuel contingent on Iran's agreement to stricter IAEA inspections. Moscow has said it will supply nuclear fuel if Tehran returns all spent fuel to Russia. Washington has consistently urged Russia to halt construction at Bushehr, or at least slow down until the IAEA can comprehensively assess Iran's nuclear pursuits. Asked Friday whether he would consider stopping the project, Putin replied that Russia is wary of any attempt to curb its ability to do business with Iran, a lucrative trade partner. "The only thing we object to is the use of the nuclear card as a means of bad-faith competition in the Iranian market," Putin said. Putin met with reporters for two hours and 40 minutes, fielding a hodgepodge of questions that ranged from his plan for peace in Chechnya to sturgeon poaching, from the need to revamp dilapidated housing to his plans for vacation. Gearing up for a March election that would give him a second 4-year term, Putin sounded populist themes that would resonate with voters but not box him in. On the thorny subject of his nearly 4-year-old war to quell a separatist rebellion in Chechnya, Putin avoided the subject of recent suicide bombings in the southern republic and instead repeated his contention that a new constitution and elections there provided the best hope for peace. Truck bomb attack Less than two hours after the news conference, a truck bomb attack on a government building in Chechnya's capital, Grozny, killed two suicide attackers and wounded dozens of people. Putin balked at indicating which candidate the Kremlin would support in presidential elections this fall in Chechnya. "Whichever candidate Chechens elect will be recognized by us," Putin said. Putin also had to field questions about his beleaguered prime minister, Mikhail Kasyanov, two days after Kasyanov survived an attempt by a faction of Communist and pro-West liberal legislators to oust him from office. Russians blame Kasyanov and his Cabinet for everything from rampant crime and slow economic growth to the abysmal state of housing throughout the country. Putin gave his prime minister a qualified endorsement, praising him for 7.1 percent annual economic growth during the first five months of the year while later noting that progress in implementing housing and utilities reforms has been painfully slow. "The government is open to criticism on some counts, but there are also some positive things, and the government's efforts in these areas should be recognized," Putin said. Return to Menu 6. Putin Says Iran Is Ready to Accept Nuclear Controls (excerpted) Russian President Vladimir Putin said today he has received new personal assurances from Iran that it does not aspire to build a nuclear weapon and is prepared to accept strict international controls over its nuclear program. Putin told reporters at a Kremlin news conference that he had spoken with Iranian President Mohammad Khatami by telephone this week and had been told "the Iranian leadership is ready to fully join all protocols" and comply with International Atomic Energy Agency demands regarding its nuclear program. His remarks come as Russia is under pressure from the United States to terminate an $800 million contract to build a nuclear reactor in Iran. Iran says the facility will be used only to generate electricity, but the United States contends it could help in nuclear weapons programs. At an IAEA meeting in Vienna Thursday, the U.N. watchdog agency pressed Iran to sign a new protocol that would allow for expanded, brief-notice inspections of nuclear facilities. Putin's remarks suggest Iran may agree to it. Putin did not address Russia's contract to build the nuclear plant, other than to dismiss calls for suspension of the project, which he called part of an effort to use "the nuclear card in unfair competition in the Iranian market." [�] Return to Menu 7. Atomic Minister on Iran's Cooperation with IAEA Iran demonstrates high activity in cooperating with the International Atomic Energy Agency (IAEA), Russian Atomic Minister Alexander Rumyantsev stated today commenting on the results of a recent meeting of the IAEA Board of Governors. He pointed out that at the meeting IAEA head Mohamed ElBaradei delivered a report on the Iranian nuclear program. Iran's steps for solving the problems that emerged regarding the IAEA safeguards agreement were discussed. The country's adherence to transparency in the field of nuclear developments was confirmed. According to Rumyantsev, the major result of the meeting was the recognition of the fact "that an efficient dialog in underway regarding how Iran will gradually get its nuclear facilities under IAEA's guarantees". The minister pointed out that Russia urged Iran and other countries to join the additional protocol to the IAEA safeguards agreement. According to him, Iranian representatives stated after the meeting that it would take some time to discuss the possibility of signing the additional protocol; this possibility would be discussed by the country's government. Return to Menu B. HEU Purchase Agreement 1. Oak Ridge Still Waiting on Russian Bomb Stuff A plan to bring some of Russia's bomb-grade uranium to Oak Ridge is still in the works, but it's not a done deal. Bryan Wilkes, a spokesman for the National Nuclear Security Administration in Washington, confirmed that a proposed government-to-government agreement was not signed recently when President Bush met with Russian President Vladimir Putin. The Russians are still reviewing the paperwork for common language, and those comments could necessitate additional changes before the agreement is signed, he said. Wilkes said he couldn't speculate on when the pact may now be signed. "We were optimistic it could be done by the summit in St. Petersburg," he noted. Oak Ridge nuclear engineer David Wall is among those who've participated in negotiations with Russia's atomic ministry. At one time, officials were targeting the first shipments for May 2003. "We still expect it to go forward,'' Wilkes said. "It's not a problem with the program. We have funding in place for the purchase, so it's not in jeopardy in any way.'' The agreement would be historic because it calls for Russia to ship uranium to the United States in its highly enriched form, similar to what's used in nuclear weapons. Under previous agreements, the Russians have "blended down'' the enriched uranium before shipping, reducing its weapons capability. The Russian uranium would be used for fuel at four U.S. research reactors, including the High Flux Isotope Reactor at Oak Ridge National Laboratory. The nuclear material is reported to be 93 percent U-235, the fissionable isotope of uranium. A couple of tons are likely to be shipped to Oak Ridge over a 10-year period if inspectors can verify the Russian material meets certain quality standards. The uranium would be stored at the Y-12 National Security Complex until needed for reactor fueling. Return to Menu C. Plutonium Production Reactor Shutdown 1. The USG Commission Monitors MCC June 19, the US Government commission finalized its visit to Mining and Chemical Combine (MCC) in Zheleznogorsk, Nuclear.Ru was informed by the Minatom�s Krasnoyarsk regional information center. The commission arrived at MCC on June 16 under the Russia-US intergovernmental plutonium production reactor shutdown agreement signed September 23, 1997. The eight-person delegation stayed for routine operations monitoring of ADE-1 reactor and took photos of the reactor and related systems and with a monitoring report prepared. Craig Bell, the head of delegation expressed his appreciation of the combine officials for the visit arrangements. Earlier, in May 2003, the Russian delegation including two MCC experts made a monitoring visit to the US shutdown reactors. Return to Menu D. Multilateral Threat Reduction 1. Russia: Putin Soon To Arrive In London Russian President Vladimir Putin is due to arrive in London shortly on a trip aimed at improving economic and political relations with Britain which were strained over the U.S.-led war in Iraq. The trip is being hailed as the first state visit to Britain by a Russian leader in about 130 years. Queen Elizabeth II is due tonight to host a state dinner for Putin and his wife Lyudmila at Buckingham Palace. Putin and British Prime Minister Tony Blair are expected to meet on 26 June for talks on issues including Russian-British relations and Russian energy supplies to Europe. The two sides are expected to sign an agreement enabling Britain to better assist Russia in the disposal of nuclear materials. Putin's visit comes after Russia and Britain disagreed over the Iraq war. Blair strongly supported the U.S.-led invasion and committed British forces to coalition efforts. Return to Menu 2. Murmansk Region Governor in Favour of Prompt MNEPR Ratification Murmansk region governor Yury Yevdokimov urged the Russian State Duma deputies to ratify MNEPR agreement as soon as possible. He addressed to the deputies in an open letter which was published in daily Murmansky Vestnik on June 18th. The goverrnor stressed in the letter that ratification of the MNEPR would secure activity of the western companies engaged in the nuclear safety projects in Russia. According to him, the ageing nuclear safety sites in the regions present now the radiation threat. Moreover, nowdays Murmansk onkologists receive 7 times more patients annually in comparison with the situation in the 70s. "The last legal step remains to be done�to ratify MNEPR agreement in the State Duma and get down to practical work," Yury Yevdokimov said. Return to Menu E. Plutonium Disposition 1. Mox-Fuel Production Plant�s Construction to Start in Siberia The Russian nuclear minister, Alexander Rumyantsev, signed the appropriate order on April 7th. The construction is scheduled to start at the Siberian Chemical Combine in Seversk, Tomsk region, in the beginning of 2005. Due to the fact that the MOX-fuel production will a part of the international program, then Russia should receive certain funds in the frames of the Russian-American intergovernmental agreement on weapon-grade plutonium decommissioning. �The estimated cost of the program is $2 billion, including reactors' decommissioning, MOX-fuel storage facility upgrade etc. The estimated cost of the MOX-production facility is $400 million in American version,� Vladimir Shidlovsky, Chemical Combine�s general director, said to nuclear.ru. French produced MELOX equipment will be adopted and used for the new facility. The construction site is situated 7.5 km from Seversk on 35 square hectares. Return to Menu F. Nuclear Security 1. Moscow Hosts "Kursk-5 Safety Issues" International Seminar The international seminar "Kursk-5 Safety Issues" opened June 24, 2003 in Moscow. Reportedly by Rosenergoatom press service, the seminar is carried out in the G8 Nuclear Safety Group format and attended by experts from Germany, Canada, USA and European Commission as well as by specialists from Minatom of Russia, Rosenergoatom, Kursk nuclear plant, NIKIET, Kurchatov Institute, VNIIAES, Atomenergoproekt, and Electrogorsk Scientific and Research Center. The seminar agenda covers all issues of interest and includes a tour to the unit 5 which is under construction. Kursk-5 got its construction license from Gosatomnadzor of Russia on December 16, 2002. The licensing process resulted in 81 expert judgments regarding the documents to justify nuclear and radiation safety, assessments of safety important systems and normal operation systems including buildings and structures, site characteristics, assembled equipment and others. There were no noncompliances revealed to hinder the unit construction. Unit 5 design was done on the basis of operational experience of channel-type reactors and incorporates all safety improvement measures proposed for existing nuclear power units with RBMK reactors. Kursk-5 RBMK-1000 reactor is expected to commission in 2006. Return to Menu G. Nuclear Industry 1. NIIAR-KAERI: New Cooperative Agreement June 21 in Dimitrovgrad (Ulyanovsk region) a technical cooperation agreement was signed between the Research Institute of Atomic Reactors (NIIAR) and Korean Atomic Energy Research Institute (KAERI), as Nuclear.Ru was informed by NIIAR press service. The agreement signed by NIIAR Director General A. Grachev and KAERI President In Soon Chang is based on the Russia-Korea intergovernmental agreement concerning cooperation in the peaceful uses of atomic energy of May 28, 1999. The main objectives are to create favorable conditions for exchanges in ideas, information, technologies, personnel as well as for interaction on issues of mutual interest. The agreement provides for NIIAR and KAERI cooperation in advanced reactors; advanced nuclear fuel cycles; isotope separation and transmutation; radioisotope production; decontamination and decommissioning. The cooperation may include scientific and technical information exchanges, exchanges of scientists, engineers and other experts by their short-term visits to facilities of both countries; joint research; joint science and technology projects or separate projects funded by either party; use of either country facilities already built or those to be constructed for research and development as proposed by any of the parties. The agreement is concluded for 5 years. Return to Menu 2. Russia's Mayak Plans Approved Plans for the modernization of Russia's RT-1 spent nuclear fuel reprocessing plant at Mayak Production Association have been approved by the country's atomic energy minister, Alexander Rumyantsev, NucNet reported. The atomic energy ministry, Minatom, said implementation of the plan, accepted by the minister earlier this month, would ensure the "complete cessation of radioactive discharges to the Techa river" (from closed lakes at the plant's site) by 2011. Modernization of the plant, which lies in the industrial Urals region, will also allow the plant to reprocess spent fuel from VVER-1000 reactors. RT-1 is currently only able to process spent fuel from VVER-440 and BN-600 reactors, as well as spent fuel from nuclear-powered submarines, plus civil and military ships. Meanwhile, the Leningrad NPP has completed a study showing that it would be possible to extend the lifetime of unit one at the plant for at least 15 years. The unit was first connected to the grid in December 1973. A comprehensive safety assessment and other related documents in support of the extension will be submitted to Russia's nuclear regulatory body, Gosatomnadzor. Separately, the director of Russia's Kalinin N-Plant, Stanislav Antupov, has confirmed that the third unit of the plant remains on schedule for commissioning in December of this year. He said around 11 billion roubles (about 362 million USD) had been invested in the completion programme - financed from sales of electricity from Russian NPPs. Up to 10% of that amount would be spent on building "social and cultural" facilities around the plant, and to develop the regional infrastructure. Return to Menu H. Nuclear Cities 1. Sarov: a City of Two Shields The home of the first A-bomb, the Russian Orthodox Mecca, the country's first offshore zone - Sarov is all of these things. "Young man, if you don't want any problems you'd better put away that camera. It is forbidden to take pictures here," I was warned as I waited in line to pass through the Sarov checkpoint. I immediately realized why security officers had taken such interest in the miracle of Japanese digital technology hanging around my neck. I put it away, and 20 minutes later passed passport control and found myself on the other side of the razor wire fence. Near Abroad The city of Sarov is in Russia, but it lies beyond its borders in the literal sense of this word: It has all the trappings of a state border area with two rows of razor-wire perimeter fence and a ploughed strip, patrolled around the clock by servicemen from an Interior Ministry division based in Sarov. The enemy, even if he wanted to very much, would not pass. Not even an ordinary Russian may enter the city unless by special permit. Such tight security is necessary because Sarov is home to the Russian Federal Nuclear Center, hitherto super-secret but now known throughout the world, where all domestic nuclear weapon projects originated. Local residents out of habit that remained from the era of total secrecy still call it simply The Facility. Kremlin Secrets For decades the nuclear center remained one of the Kremlin's most fiercely guarded secrets. During that time the city had changed about a dozen names, some of them really bizarre: Privolzhskaya Kontora (or the Near-Volga Office), Center-300, and even Kremlev. They say local Party members took great pride in the fact that their membership cards had an entry: the Kremlevsky ("of the Kremlin," in Russian) city Party committee. Strange as this may be, the symbol of the city where Russia's nuclear shield was forged is a bell tower that is part of the former Sarov monastery compound. Today the bell tower to Sarov is what the Eiffel Tower is to Paris - not only the centerpiece and main sight of the city but also a radio frequency repeater. In place of a cupola and steeple with a cross, it has transmission antennas mounted on its top. The former monastery cells are now used by a television center. The bell tower straddles a busy road. All of a sudden an old woman appears in the middle of it and starts bowing to the ground. Motorists wait patiently. The old woman makes the sign of the cross and, paying no attention to the traffic that has come to a halt, proceeds through a bell tower arch into the city park. Anton, a native of Sarov who looks about 30, strolls nearby without particular reverence, clutching a bottle of beer in one hand. "It is certainly important for us that there used to be a monastery here," Anton says, waving the bottle in the direction of the old woman. "They still remember it. But I came to work at the nuclear, not spiritual, center. Should the monastery be restored, the park will become off limits to the public. Where will young people meet then?" Neither the city government nor the church authorities are in a hurry to reopen the monastery in Sarov. This is where St. Serafim of Sarov, a much revered Russian saint, lived in hermitage, in the 19th century. If monastic life is restored in Sarov, it will become a magnet to a constant stream of pilgrims. Then the city authorities will have cause to worry about the security of the secret facility. "Closed cities will be opened up eventually, but at present the socioeconomic condition of our state does not make this possible," Atomic Energy Minister Rumyantsev drew a line under the debate about the opening of Sarov, and therefore of the monastery. H-Bomb In Sarov, I was shown the Mother of Kuzma (reference is to a Russian idiom that roughly means "show who is top dog") - that is to say, the hydrogen bomb that Nikita Khrushchev invoked in a bid to intimidate the Americans, banging his shoe on the UN rostrum for good measure. It is now exhibited at the All-Russia Research Institute of Experimental Physics, or VNIIEF. The Mother of Kuzma is not alone here. The shells of virtually all Russian nuclear bombs are likewise on display. "Did you know that only its creator, Andrei Sakharov, envisioned the military use of the H-bomb?" a museum guide lifts a veil of secrecy on the Soviet atomic project. "Already at that time everyone realized that a bomb with a yield of 100 megatons could only be an instrument of political struggles." For your information, if an H-bomb were exploded over such cities as Moscow or New York, they would simply evaporate (in the literal sense of the word) while other populated centers within a radius of 700 kilometers to 800 kilometers would be flattened. Legend has it that the Americans really wanted to see the Mother of Kuzma - only not as a live bomb but as a museum exhibit in Sarov's Big Brother in America - Los Alamos. Together with the Mother, in the early 1990s, the Americans offered to buy up the entire Sarov museum of nuclear weapons, but the Russians explained to the denizens of the New World that the Motherland was not up for grabs. Strange Bedfellows In the mid-1940s, while choosing the Sarov area for building a nuclear center, the authorities were least of all concerned about the territory's immense spiritual significance. Within a short distance of each other there were three cloisters there: Sarovsky, Serafimo-Diveevsky, and Sanaksarsky. The life of St. Serafim of Sarov was inseparably linked with the first two. As the elder of the Sarov monastery, Father Serafim provided spiritual guidance to the Serafimo-Diveevsky convent, where his relics are buried now. The city of Sarov met all criteria for the location of a nuclear center. With a stroke of the pen the CPSU Central Committee merged the holy with the evil on a single piece of land. Scientists at the nuclear center have a special opinion about this neighborhood: Whereas Serafim of Sarov forged a spiritual shield, the nuclear center forged a military shield for the motherland. "Weapons and man are inseparable," VNIIEF Assistant Director Dmitry Sladkov said. "There is even a special church service in consecration of weapons. Our efforts were justified: We were building weapons to catch up with the United States, as a counterbalance. None of our bombs were ever used against humanity - they only provided a defensive shield." Serafim of Sarov Up for Sale A notice with approximately this message appeared in the early 1990s in one national newspaper. It was about a monument to St. Serafim of Sarov. The monument was designed to be erected in the city of Kursk, the holy man's hometown. Yet for some reason the Kursk city authorities changed their mind, and the authors of the monument had to offer it up for sale. The Sarov authorities remembered that their city was not only a unique scientific but also a spiritual center. They bought the monument and put it up near a hermitage where the holy man once prayed. Serafim of Sarov was canonized 100 years ago. The canonization ceremony was attended by the imperial family en masse. It was in Sarov that God's fool Pasha of Sarov predicted the birth of heir Alexei to Nicholas II, but she also told the last Russian emperor: "Tsar, abdicate the throne of your own free will." That was in 1903. In late July 2003, a state celebration is going to be held at the Serafimo-Diveevsky convent, some 20 kilometers from Sarov, as well as in the city itself, and it may well be every bit as grand as 100 years ago. It is expected to be attended by both the RF president and the patriarch. Yet the city will remain closed to mere mortals. Only the chosen few will pass through the checkpoint from Diveev to Sarov in the procession of the cross that will be carrying St. Serafim's relics. Home of Mortgage What do the A-bomb and mortgage have in common? In Russia, both first appeared in Sarov. Moreover, they have a similar history: A Western analogue was used as a starting point that was then adapted to Russian conditions with Russian wit and ingenuity. True, in the case of mortgage, it was decided to do without assistance from intelligence services: The mechanism was well known. In late 1999, the news of Sarov's successful mortgage program spread across Russia with the speed of polonium half-life: about four days. As a matter of fact, the Sarov "mortgage miracle" was entirely based on the economic privileges granted to closed territorial administrative formations (ZATO). Under a 1992 law, they were allowed to retain all of their tax revenues without sending a cent to the federal center. ZATOs were also granted tax breaks. Essentially, Sarov and other ZATOs became the first offshore zones in Russia, which enabled them to survive in the 1990s rough-and-tumble, setting up non-military production facilities, to maintain the social sector on a worthy level and even to implement mortgage projects. City authorities, without running much risk of going bankrupt, invested available capital in mortgage programs with every invested ruble yielding two rubles to the city budget. The majority of other regions in Russia did not have available capital on such a scale, so that scheme was simply impossible. Today Sarov sees none of the old mortgage boom - a result of the 2001 Duma amendments to the ZATO law, which appreciably reduced the amount of funds at the disposal of city authorities and with it their ability to grant long-term low-interest credits to individuals. With, Not on, the Shield Sarov greatly differs from an average Russian province. It is tidy, well kept and green, like on a Soviet-era postcard. For some reason there are still very few stores and very many taxis. You can get a ride to any part of the city for 30 rubles by day and 20 rubles at night. When all is said and done, Sarov owes its relative well-being to the nuclear center - what with the jobs, the status as a closed territory, and the generous tax breaks. The average wage in the city is 7,500 rubles a month. Top-notch specialists at the nuclear center make up to $1,500 a month. Everyone in Sarov says that the city's future is contingent on the future of the nuclear center. This past March, the nuclear power and defense ministers visited the city, both speaking in glowing terms of the VNIIEF's performance. The gist of their comments was that as long as the VNIIEF was around we could feel utterly secure. Still, when you go to church, do not forget to light a candle to St. Serafim: His shield may be just as important for Russia today. MN File Fact box The RFYaTs VNIIEF (Russian Federal Nuclear Center: the All-Union Research Institute of Experimental Physics) was established in 1946 on Stalin's orders, to develop the first Soviet A-bomb. It is located in the place of the former village of Sarov and the Sarov monastery. The city of Sarov was built to meet the needs of the nuclear center. It has a population of 87,000 with 18,500 employed at the nuclear center. Return to Menu I. Strategic Arms Reduction 1. Vladimir Putin: Nuclear Threat Almost Brought to Naught President Vladimir Putin stated that the threat of a global nuclear disaster has been virtually brought to a naught. "The half-century of an exhaustive nuclear confrontation is now history," the Russian president said opening the meeting with the Interaction Council members in the Kremlin Monday. "The world, and the system of international organisations as well, have undergone fundamental changes in the past fifteen years or so," the Russian head-of-state went on to say, "the most important result of those changes being the Cold War termination and the near liquidation of the global nuclear disaster threat." Moscow is hosting the 21st session of the Interaction Council, which unites politicians who used to hold top government posts in their countries. Return to Menu J. Official Statements 1. Remarks by President Bush, Prime Minister Simitis and President Prodi in Press Availability (excerpted) [�] Today, the United States and the EU have also taken new steps to help stop the gravest threat to our security: the proliferation of nuclear, biological and chemical weapons. We have signed -- we have agreed to work together and with others to strengthen export controls on dangerous materials. We also seek new methods, including active interdiction, to stop illicit trade in weapons of mass destruction. The United States and the EU are working closely to meet the proliferation challenges posed by North Korea and Iran. The recent report by the International Atomic Energy Agency clearly describes Iran's failure to meet its obligations to the world and to provide access for agency officials. America and the EU agree that Iran must cooperate fully with the IAEA. We agree that Iran must sign and comply with an additional protocol giving the IAEA new tools to investigate clandestine nuclear weapons activities. Iran has pledged not to develop nuclear weapons, and the entire international community must hold that regime to its commitments. The United States and the EU are determined to make the world not only safer, but also better. [�] PRIME MINISTER SIMITIS: As President Bush said, we discussed how to strengthen our relationship. We identified issues which we have common objectives, shared interests, and how we can both contribute. The Middle East and the application of the road map remains at the top of the list. We have the same interest that there is peace in the Middle East. Counterterrorism is certainly a common issue, and that's why we also agreed on a declaration on nonproliferation on weapons of mass destruction. [�] Q Mr. Prodi, when you discussed Iran with President Bush, did you raise the question of what would happen if Iran does not comply to sign up to enhanced inspections? PRESIDENT PRODI: We discussed deeply about Iran, but I didn't ask him what he would do, you know. I tell my opinion. (Laughter.) PRESIDENT BUSH: Iran must comply. It's -- the free world expects Iran to comply. Just leave it at that. They can -- Q And if it doesn't? PRESIDENT BUSH: We expect them to. See, you're assuming they won't. We believe they will when the free world comes together. And if they don't, we'll deal with that when they don't. PRESIDENT PRODI: The dialogue with Iran is going on daily and deeply. And we push that they accept all the inspections, even the non-, let's say, planned inspections because we have to be sure that doesn't constitute a danger to future peace. We have to be absolutely sure. PRESIDENT BUSH: Yes. If the world speaks together, they'll comply. Thank you all very much for coming. We enjoyed it. Return to Menu 2. Interview with the President of the Russian Federation, Vladimir Putin by the British BBC Television and Radio Company, Moscow, June 22, 2003 (excerpted) [�] Question: When discussing Iraq, it is impossible not to mention North Korea and Iran as well. This no longer concerns Iraq, but at one stage George W. Bush called these three countries the �axis of evil�. Do you agree with this term, and are Iran and North Korea really part of the �axis of evil�? Vladimir Putin: I just said that partnership does not imply complete agreement on everything. We, for example, cannot agree with this terminology. We really do have a common understanding of the threats of the 21st century. This unites us. The question is only in the means used to attain the common goal � neutralising these threats. As for terminology, we are opposed to drawing up any blacklists. We proceed from the fact that the problems need to be dealt with. The problems are not only concentrated in the countries that you have mentioned. If we are talking about the main threat of the 21st century, I think that it is the problem of proliferation of weapons of mass destruction. And here, of course, we should not only mention North Korea, not only the Middle East, we should also mention South Asia. We should always remember that the problem of proliferation of nuclear and other weapons of mass destruction is closely related to another threat � the threat of terrorism, because terrorists attempt to acquire certain means of mass destruction. This is particularly dangerous. This is why should see how terrorism is financed, where terrorists hide out, where they find refuge and where they are hiding and where they prepare their crimes; what is the reason for proliferation, where are the loopholes which give the terrorists the hope of acquiring weapons of mass destruction. And then we will understand that the geography of these problems is much wider. And the most important recent achievement is that we acknowledge these common threats, and have brought our positions closer together; we proceed from the fact that it is only possible to fight these threats together. And in this sense, our positions have a great deal more in common than the things that we disagree on at the moment. Question: What about the issue of non-proliferation, primarily Iran and its nuclear programme? At the G8 summit, it was stated that no one intends to ignore the development of nuclear weapons in Iran, and everyone supports increasing total control from MAGATE, signing additional protocols etc. Judging from your talks with President Khatami, do you think that Iran will really agree to this? Vladimir Putin: You know, to determine whether a certain country will follow the obligations it has taken on, one telephone conversation is not enough, and neither are personal meetings. Iran is our neighbour, our traditional partner. We have a certain system and a level of inter-governmental relations. And we do not intend to lose our position in Iran. We plan to develop relations with this country. But we have several fundamental questions, and our Iranian partners know about these problems: we are opposed to the proliferation of weapons of mass destruction. Iran has signed an agreement on non-proliferation, and taken on certain obligations. And in our last talk, President Khatami confirmed that Iran was prepared to adhere to all documents and put all its nuclear programs under control. And in this case, certain procedures and instruments of control will begin to take effect, which do not depend on our telephone conversations or good personal relations anymore. They depend on experts and specialists from MAGATE. And we will build our relations not just with Iran, but with other countries as well on nuclear problems, based on their openness towards this internationally acknowledged and respected organisations, whose specialists we all trust. Question: If that really happened, it would be a serious step forward. Because today, as you probably know, John Bolton, the U.S. Under Secretary of State on issues of weapons control, was recently in London. He was asked whether it was still likely there would be a military operation against Iran. He answered that �although we don�t have this intention, this possibility should not be ruled out, as nuclear weapons represent a major threat, and when you compare the Iran nuclear program with their aggressive attempts to increase the radius of activity of ballistic rockets, more and more countries � our friends and allies � come into the radius of these rockets.� Do you agree that this danger really exists? Vladimir Putin: I don�t see that I should comment on anyone�s statements, but we are aware of certain information which we receive, including from MAGATE circles, about Iranian programmes in the nuclear energy sphere. And of course, we have questions about this. We know that certain Western European companies actively cooperate with Iran in this sphere, and supply equipment which is at least equipment with a dual purpose. So we will protest against using the theme of nuclear weapons proliferation against Iran as an instrument for forcing Russian companies out of the Iranian market. But to fight the problem of proliferation actively, we should be more open with one another, we could act in a more corporate spirit. And the most important thing � I want to repeat this idea once more � is the readiness of Iran�s leadership to put all its nuclear programmes under the control of MAGATE. Question: In the context of the topic of weapons of mass destruction� Recently there has been active discussion around the world as to which of the two countries � Iran or North Korea � represent the greater danger from this standpoint. Given what you said about Iran� Does this mean that North Korea causes the most alarm? Vladimir Putin: It�s hard to say. I don�t really even want to answer in the context of the question asked: who poses more danger, who poses less. At any rate, North Korea is in such a state (and we know the context of the historical development of North Korea), that I have no reason to believe that it has any aggressive intentions. At the same time, the situation is very complex. In our opinion, this problem may be solved by political and diplomatic means. If North Korea has certain concerns connected with its safety, then we must simply bear this in mind, and respond to them. I am firmly convinced that North Korea needs to be included in the system of international dialogue. This will inevitably lead to a certain change in the state of North Korean society itself, changes in state structures and principles of forming the state, because it will be caused by the necessity of integration into the international community. We are also prepared to provide our territory for possible meetings and talks, and we are prepared to provide assistance in any form in order to normalise the situation. We discuss this with our Japanese partners, with the leadership of South Korea, with the United States, and are in contact with the North Korean leadership. I should say that this is a very sensitive issue for Russia due to the country�s immediate proximity to our borders. [�] Return to Menu 3. 2003, June 21. The Spokesman for Russian Foreign Ministry Alexander Yakovenko Answered the Questions of the Yaderny Kontrol Journal YADERNY KONTROL: Russia is interested in developing partnership relations with Iran and regards it as one of key partners of Russian Federation in the region. In the very same time alarming date revealed by the IAEA report, published lately, preoccupies Russian experts. According to the PIR Center research the worst-case scenario of the situation development in Iran suggest that by the 2006 Iran will possess enough technical capability to create its own nuclear weapon wile Iranian delivery vehicles already capable of reaching neighboring countries including South of Russia with population over 20 mln. Can this facts influence the way Russian-Iranian relations are developing? YAKOVENKO: Our cooperation with Iran is based around one condition - Iran�s compliance with its obligations under the Nuclear Nonproliferation Treaty. As long as IAEA haven�t presented any alarming evidences and as long as Iran continues to comply with NPT Russia will continue to cooperate with Iran on nuclear field. Talking about Additional Protocol Russia adheres the position of encouraging other NPT-member-states to sign this Protocol while our cooperation with Iran lies with its compliance to NPT. So we cannot add anything groundbreaking to our position. The nuclear power plant Russia is constructing in Iran is currently under IAEA safeguards so every issue should be resolved under the IAEA rulings. We stand out for the transparency of Iranian nuclear programs and press for Iran to sign the Additional Protocol in order to remove concerns of the number of countries. YADERNY KONTROL: The development of the situation around North Korea dictates Russia to actively pursue its geopolitical interests in the region. Russia�s contribution to resolve this crisis may be the idea of constructing Nuclear Power Plant in Primorsky Region to export the electricity to North Korea voiced by the former head of Minatom Evgeny Adamov back in 1998. Does Russian Foreign Ministry consider implementing of this idea when dealing with the crisis? YAKOVENKO: Currently we do not have any kind of such propositions on our table of negotiations. Talking about Russian position towards North Korean crisis Russia continues to adhere the position of maintaining the status of Korean peninsula as a Nuclear Weapons-Free Zone. Furthermore Russia acts to encourage North Korea to keep a close cooperation with IAEA and adhere itself to NPT. We also state that any problems so far should be discussed during the dialogue to which the recent meeting in Beijing contributed greatly. It is important to consider economic cooperation with North Korea. The idea of building a railroad with direct linkage to Transsib is a bright example of such cooperation. I cannot exclude that other projects may appear that would involve North Korea into inter-state economic projects. But the most important thing here is political solution. YADERNY KONTROL: The President of Russian Federation is about to embark on a visit to Great Britain. Do you expect the discussion between the leaders of Russia and Britain on some protects within the framework of Global Partnership. YAKOVENKO: I can say that the trip of the Russian President to Great Britain is an important event, which supposedly means a great deal of documents to be discussed. I think that GP documents are also on the list. Return to Menu 4. Press Conference by Russian President Vladimir Putin with Russian and Foreign Journalist (excerpted) [�] Question (U.S. television channel NBC): President Putin, as you know, Washington is still preoccupied by Iran�s desire to manufacture nuclear weapons. Have you received new assurances from Iran that Tehran will observe the International Atomic Energy Agency protocols? And do you think that work on the nuclear power station should stop until Iran signs these protocols? Vladimir Putin: The issue of Iran came in for particular attention during the meeting with President Bush in St. Petersburg and at the summit in Evian. We looked very closely at the question. I must say that the respective positions of Russia and the United States on this issue are a lot closer than they seem at first glance. Our position of principle is that we are categorically against the proliferation of weapons of mass destruction, and we support strengthening the non-proliferation regime. This concerns all participants in the international dialogue, and above all, of course, it concerns the countries that have signed the Nuclear Nonproliferation Treaty. Iran, as we know, has signed this treaty. As for your question on whether I have received new assurances from Iran that it has no plans to build its own nuclear weapons, yes, I have. Two days ago, I spoke by telephone with President Khatami on his initiative, and he once again assured me that Iran has no plans to make nuclear weapons. What�s more, we have information that the Iranian leadership plans to sign all the protocols as demanded by the IAEA for IAEA supervision over Iran�s nuclear programmes. Our position is not something new for the Iranian leadership. We will build our relations with any country, including Iran, based on how open they are in their relations with the IAEA. In case you�re not aware, I can tell you that a meeting of the IAEA�s directors has just taken place, and no resolutions condemning Iran were passed. The meeting decided that the IAEA must pursue its joint work with the Iranian leadership on ensuring that all Iran�s programmes will be transparent in the future. This corresponds to the position of the Russian Federation, and we will continue to work in this direction. I would once again like to say that we will work together with the members of the international community on this problem. The only thing we are against is having the nuclear card used as a pretext for unfair competition on the Iranian market. That�s the only thing. [�] Return to Menu K. Links of Interest 1. Russian Nuclear Forces, 2003 Return to Menu 2. The CWC After Its First Review Conference : Is the Glass Half-Full or Half-Empty? Return to Menu 3. WMD411: U.S.-Russian Policy Options � ICBM�s, SORT Return to Menu 4. Pressure for Enhanced IAEA Inspections Grows: Update on Response to Iran�s Nuclear Programme Return to Menu 5. Power and Authority: America's Path Ahead Return to Menu DISCLAIMER: Nuclear News is presented for informational purposes only. Views presented in any given article are those of the individual author or source and not of RANSAC. 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